Use the following Resources to help in planning your yearly taxes.
Standard Deductions
| Married Filing Joint/Surviving Spouse | $11,600 |
| Single | $5,800 |
| Head of Household | $8,500 |
| Married Filing Separately | $5,800 |
| Additional Aged/Blind – Married | $1,150 |
| Additional Aged/Blind – Unmarried | $1,450 |
| Taxpayer Claimed as Dependent | $950 |
Personal Exemption
The personal exemption amount in 2011 is $3,700.
2011 Social Security Changes
Maximum Taxable Earnings
| Social Security Wage Base (OASDI) | $106,800 |
| Medicare Portion (HI) | No Limit |
Social Security Tax Rates
| Tax Rate | Employee Rate |
| Employee | 7.65%* |
| Self Employed | 15.30% |
*The combined rate for Social Security (OASDI 6.2%) and Medicare (HI 1.45%)
At A Glance: Key Numbers For 2011
| Plan Contribution Limits | 2011 |
Defined Benefit Limit
| $195,000 |
Defined Contribution Limit
| $49,000** |
Maximum Compensation Limits
| $245,000 |
| Section 401(k) Plan | $16,500 |
| Section 403(b) Plan | $16,500 |
| Catch Up Provision 401(k) and 403(b) | $5,500 |
Section 457(b)(2) Limit
| $16,500*** |
Section 457(b)(2) Catch Up Provision
| $5,500
|
| Highly Compensated Employee Definitional Limits | $110,000
|
SIMPLE IRAs and SIMPLE 401(k) Plans
| $11,500
|
SIMPLE Plan Catch Up Provision
| $2,500
|
| Traditional IRA and Roth IRA | $5,000 |
| Traditional IRA and Roth IRA Catch Up | $1,000
|
**Annual additions to an employee's account, which are defined as the total of employer contributions, and forfeitures, are limited to the lesser of the dollar amount indicated or 100% compensation. This limit must be coordinated with a rule applicable to profit-sharing plans, SEPs, and stock bonus plans that limit contributions to 25% of compensation. This lower limitation does not apply to employee elective contributions or forfeitures, so annual additions may exceed 25% of compensation as long as employer contributions meet the 25% limit.
***Existing salary reduction SEPs (SARSEPs) are also covered by this limit.
Qualified Long Term Care Premiums
|
2011 Maximum
|
| Age 40 or less | $340 |
| Over 40 but less than equal to 50 | $640 |
| Greater than 50 but less than or equal to 60 | $1,270 |
| Greater than 60 but less than or equal to 70 | $3,390 |
| Greater than 70 | $4,240
|
The information provided is not written or intended as tax or legal advice and may not be relied on for purposes of avoiding any Federal tax penalties. Individuals are encouraged to seek advice from their own tax or legal counsel. Individuals involved in the estate planning process should work with an estate planning team, including their own personal legal or tax counsel.
Insurance products issued by Massachusetts Mutual Life Insurance Company (MassMutual), 1295 State Street, Springfield, MA 01111-0001 and its subsidiaries C.M. Life Insurance Company and MML Bay State Life Insurance Company, 100 Bright Meadow Boulevard, Enfield, CT 06082.
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